Met Police Contract with Palantir Blocked by Deputy Mayor
The Metropolitan Police has been prevented from finalising a contract valued at up to £50 million with the US technology company Palantir, following a refusal from London's deputy mayor to approve the agreement.
The Met had proposed a contract worth £25.3 million with Palantir UK for the 2026-27 period, intended to assist with criminal investigations and reforms aimed at enhancing the force's culture and standards. This contract included an optional one-year extension option valued at an additional £24.8 million.
However, the Mayor's Office for Policing and Crime (MOPAC) expressed dissatisfaction with the Met's ability to demonstrate or ensure value for money in the proposed deal.
MOPAC also raised concerns regarding the values and ethics of Palantir, although it acknowledged that legally such considerations cannot be grounds for refusing a contract.
The Metropolitan Police and Palantir have been approached for comment on the matter.
Background on Palantir and Ethical Concerns
Palantir, founded by US billionaire Peter Thiel, has faced criticism over its involvement with US Immigration and Customs Enforcement (ICE) and the Israeli military. These associations have led to calls for public bodies to take ethical considerations into account when awarding contracts.
A spokesperson for City Hall stated:
"A broader question remains over whether a company's values and ethics should be considered during public procurement."
"The mayor believes Londoners would want public funding to go only to companies that share the city's values, but this is not currently possible under procurement law."
They added that the mayor is expected to raise this issue with the government in due course.
Additionally, concerns were noted regarding public sector contracts that can lock buyers into a single supplier, leading to rising costs over time and limited options to switch providers.
Deputy Mayor's Letter Highlights Procurement Breaches
In a letter sent to the Metropolitan Police on Wednesday, Kaya Comer-Schwartz, the deputy mayor for Policing and Crime, stated that the Met had failed to obtain MOPAC's approval for its procurement strategy, despite being explicitly reminded of this requirement.
She described this as a "clear and serious breach" of the rules.
Comer-Schwartz noted that the Met had only seriously engaged with one potential supplier, Palantir, and had not sufficiently tested the market to determine whether Palantir was the best or most cost-effective provider.
She also expressed concerns about the contract's cost. The value had increased from an initial estimate of £15 million to £25 million per year, reaching the upper limit following direct negotiations with Palantir. She was not convinced the Met could fund this without causing "unacceptable adverse impact" on other budgets.
Under existing rules, any Metropolitan Police investment exceeding £500,000 requires MOPAC approval to ensure compliance with legislation and provide independent oversight.
The cost of an earlier pilot project the Met conducted with Palantir was below the £500,000 threshold and therefore did not require MOPAC review or approval.
Comer-Schwartz affirmed her continued support for the Met procuring technology to enhance its operations and indicated that MOPAC is prepared to collaborate with the force on a new procurement process.
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